Evaluating heterogeneous effects of housing-sector-specific macroprudential policy tools on Belgian house price growth

Lara Coulier () and Selien De Schryder ()
Additional contact information
Selien De Schryder: Department of Economics, Ghent University

No 421, Working Paper Research from National Bank of Belgium

Abstract: This paper analyzes whether housing-related macroprudential policy has heterogeneous effects on house price growth in local housing markets. More specifically, we employ an extensive dataset of Belgian municipalities containing a multitude of drivers of local house price dynamics and examine the potential heterogeneity of housing-related macroprudential policy changes driven by local characteristics related to financial constrained and high-risk borrowers, the degree of local housing market activity, and changes in local household indebtedness. We find more dampening effects of the common macroprudential policy tightenings on local house price growth for municipalities characterized by low-income and young citizens, which furthermore increase in hot housing markets. Our findings shed more light on the geographical heterogeneity of national macroprudential policy changes, which indicate the possibility to stabilize local housing market booms.

Keywords: macroprudential policy; local housing markets; heterogeneity; dynamic panel data; quantile regressions (search for similar items in EconPapers)
JEL-codes: C22 C23 E58 O18 R3 (search for similar items in EconPapers)
Pages: 67 pages
Date: 2022-10
New Economics Papers: this item is included in nep-ban, nep-cba, nep-eec and nep-ure
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.nbb.be/fr/articles/evaluating-heteroge ... dential-policy-tools (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nbb:reswpp:202210-421

Access Statistics for this paper

More papers in Working Paper Research from National Bank of Belgium Contact information at EDIRC.
Bibliographic data for series maintained by ().